A stricter step-up cuts fraud and loses good users. Ship it?
Decide from resultsHardProblem. A customer tested a stricter step-up for medium-risk signups: a document plus selfie check instead of a code sent by text. After four weeks and matured labels, fraud that got through in that group fell about 30%, but the share of good users who passed the step-up dropped from 91% to 84%. The customer asks whether to switch. What do you recommend?
Before you reveal: say your answer out loud, as if you were in the real interview — get your reasoning across clearly first. There is no single correct answer: reading what the interviewer is really after and defending your own thinking is what makes an answer strong.